EU Funds Scrutiny and Spain’s Recovery Plan: A Closer Look

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There is ongoing tension between Spain and the United States over budget oversight. The European Parliament, just days before the Budget Control Commission’s duty, prepared to monitor how Next Generation EU funds are managed. A German conservative leader of the Budget Control Commission, Monika Hohlmeier, stated in an interview with ABC that a visit to Spain would occur due to concerns about where the bailout funds are being directed. Spain responded with data aimed at addressing doubts, highlighting that it has already received calls for help and is handling tenders. Next Generation Funds amount to 23,000 million, out of 31,000 million received so far, financing more than 190,000 projects across Spain.

First vice-president Nadia Calviño maintained a firm stance as talks continued. The friction between the parties was evident: the European Parliament visited Spain first because it was the most advanced country in implementing the plan. In presenting the Third Report on the Execution of the Recovery Plan, the Economy Minister outlined positive assessments from the European Commission and reaffirmed the government’s willingness to cooperate with European institutions. The plan’s implementation is described as transparent, open to dialogue, and well managed in terms of European resources. Data from Calviño and Finance Minister María Jesús Montero showed Spain accelerating the funding pace to an average of 2,000 million per month in 2022, rising to more than 9,000 million in January 2023, representing about one third of the annual European investment planned for 2023.

cross cards

A letter signed by Calviño and Montero on Monday conveyed a message of efficiency and transparency to Hohlmeier. The letter, released by Reuters and eldiario.es, noted the European Court of Auditors’ positive assessment of the initial disbursement of funds, highlighting diligence and control. Hohlmeier criticized the leak of the letter to Spanish media and urged Calviño to facilitate the mission to monitor EU funds, as summarized by agencies Efe and Europa Press.

The PP MEP expressed concern about a serious enforcement and transparency issue during an interview with EL PERIÓDICO of the Prensa Ibérica group. Isabella Benjumea suggested that the delegation visiting Spain should be accompanied by placing budget control work within democratic normality. The essential question, she argued, is not how much is spent but how much is spent to pay the bills.

Mission members and agenda

The delegation headed for Spain includes Germans Monika Hohlmeier (European People’s Party) and Portuguese MEP Jose Manuel Fernandes, with collaborators Isabella Garcia (Spain) and Caterina Chinnici (Italy), plus Jorge Buxade (Vox). The Spanish government noted skepticism about the conservative tilt within the so‑called men in black mission arriving in Spain.

The mission would travel to Spain and serve as observers, with no direct involvement in preparing the final report. Isabella Benjumea (PP), Eider Gardiazabal (PSOE), Eva Poptcheva, Susana Solís (both Citizens), and Ernest Urtasun (Catalonia en Comú) were listed as participants. Two representatives from the European Court of Auditors and the European Commission were expected to attend as observers.

The meeting agenda included discussions with regional authorities from Madrid, Castilla-La Mancha, Aragon, Andalusia, and Extremadura, along with meetings with industry bodies such as CEOE, Anfac, the Spanish Chamber, ATA, Digitales, Adigital, Ametic, AEB, and UGT-Fica. Interviews with four journalists from El País, El Mundo, ABC, and The Objective were planned, as well as engagement with consultancy firms E Y and PWC. On the government side, Vice President Calviño and Finance Minister Montero, along with Social Security Minister José Luis Escrivá, were slated to participate.

For PP MEP Pilar Benjumea, the mission has a dual purpose. It will be the first time that the European Parliament assesses the Recovery and Resilience Mechanism, with analysis focused on Spain because it was the first to request transfers and received the most funds. The delegation will also seek to evaluate how European money appears in Spain’s accounts and is used.

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